FRTB standard rules cause worries about duplication

Sensitivity-based approach means “we have to do everything twice”, complains one head of trading

Xerox 914 copier
Banks worry SBA will force them to duplicate their risk management processes

New standardised rules on trading book capital could dramatically increase the time and expenditure involved in risk management, banks complain, as the rules will force firms to duplicate certain processes.

The worries circle around the Basel Committee on Banking Supervision’s Fundamental review of the trading book (FRTB), which was finalised in January. As with current rules, the FRTB allows more advanced banks to use their own internal models or adopt a punitive standardised approach.


Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: